Professional Documents
Culture Documents
SUSTAINABILITY
REPORT
ROOTED IN TRADITION, GROWING RESPONSIBLY
Contents
1.0
1.1
1.2
1.3
1.4
2.0
2.1
2.2
2.3
3.0 People
3.1 Ethics
3.2 Recognizing an Exceptional Workforce
3.3 Ensuring the Health and Safety of Our
Team Members
3.4 Hunger Relief
3.5 Charitable Giving
4.0
4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
Planet
Our Environmental, Health, and
Safety Policy
Our Environmental Team
Environmental Management System
Auditing Our Performance
Data Collection and Assurance
Managing Our Environmental Footprint
Environmental Fines and Penalties
Awards and Recognitions
5.0
5.1
5.2
5.3
5.4
5.5
5.6
Products
Managing Food Safety and Quality
Supporting Our Customers and
Consumers
Product Research and Development
Promoting Nutrition and Health
Responsible Marketing and Advertising
Animal Well-Being
6.0 Profits
6.1 Corporate Governance and
Compliance
6.2 Company Strategy and Financial
Performance
6.3 Our Supply Partners
6.4 Supporting the Family Farmer
6.5 Renewable Products
6.6 Building a Multinational Enterprise
6.7 Public Policy and Political
Contributions
6.8 Ethanol and Animal Feed
7.0 Our Approach to Sustainability
Reporting
7.1 Material Issues
7.2 Growing Successful Partnerships
Stakeholder Engagement
7.3 Restatements and Changes in
Reporting
7.4 Data Integrity
8.0 Global Reporting Initiative Index
8.1 Acknowledgements
8.2 Contacts
John Tyson
Chairman, Tyson Foods, Inc.
Donnie Smith
President and Chief Executive Officer
Tyson Foods, Inc.
1.3 A Message from our Chief Environmental, Health, and Safety Officer
Our companys Core Values are the framework
of our sustainability practices, which are
focused on people, planet, and profit. In other
words, sustainability at Tyson Foods is about
doing the right thing in all aspects of our
business.
Striving everyday to provide a safe work
environment for our Team Members and to
serve as stewards of the environment are
integral components to how we plan our days,
do our work, check our performance, and
continually improve. We are often asked if there
are benefits to sustainability. The short answer
is yes. The benefits range from feeling good
about our company to the creation of innovative
products and measured improvements.
We are proud to present our third sustainability
report, which provides details about our business
and how we go about making a sustainable
difference for the future. As we have planned
and acted upon our sustainability journey, key
topics such as human safety, hunger, water
resources, climate change, renewable fuels,
safe food production, animal welfare, recycling,
and the disposal of discarded materials continue
to be a part of our success and hold our attention
toward continual improvement.
There are benefits for companies that choose
to follow a path toward sustainability. Here are
a few key highlights on safety and environmental
efforts.
Kevin Igli
Kevin Igli
Chief Environmental, Health, and Safety Officer
Tyson Foods, Inc.
Who we are:
We strive to be a company of diverse
people working together to produce food.
We strive to be honorable people.
We strive to be a faith-friendly company.
What we do:
We feed our families, the nation, and the
world with trusted food products.
How we do it:
We strive to earn consistent and satisfactory
profits for our shareholders and to invest in
our people, products, and processes.
We strive to operate with integrity and trust
in all we do.
We strive to honor God and be respectful of
each other, our customers, and other stakeholders.
food production company in the Fortune 500; and a member of the S&P
500. The company produces a wide variety of protein-based and prepared
food products and is the recognized market leader in the retail and
foodservice markets it serves. Tyson provides products and services to
customers throughout the United States and more than 90 countries. The
company has approximately 117,000 Team Members employed at more
than 400 facilities and offices in the United States and around the world.
In fiscal year 2009, Tyson Foods represented 20 percent of U.S. chicken
production, 22 percent of U.S. beef production, and 18 percent of U.S.
pork production. In fiscal 2009, the companys average weekly production
included 41.4 million chickens, approximately 139,400 cattle, and
393,300 hogs. The company generated total sales of approximately
$26.7 billion in fiscal 2009. This includes $3.4 billion in international sales.
Through its Core Values, Code of Conduct, and Team Member Bill of
Rights, Tyson Foods strives to operate with integrity and trust and is
committed to creating value for its shareholders, customers, and Team
Members. The company also strives to be faith-friendly, provide a safe
work environment, and serve as stewards of the animals, land, and
environment entrusted to it.
Tyson Foods vision is to be the worlds first choice for protein solutions
while maximizing shareholder value, living our Core Values, and fostering
a fun place to work. The companys mission is to produce and market
trusted, quality food products that fit todays changing lifestyles and to
attract, reward, and retain the best people in the food industry.
Want To Know More?
You can learn more about Tyson Foods, its history, and its operations
in the Tyson Fact Book, which is available by clicking on
http://ir.tyson.com.
Learn more about our major shareholders in our proxy statement
available through our Investor Relations Web site at
http://ir.tyson.com.
If you are interested in Tyson Foods financial performance, we
invite you to review our 2009 Annual Report on Form 10-K available
through our Investor Relations Web site at http://ir.tyson.com.
Consumer Products
Foodservice
International
Beef
Unlike our vertically integrated poultry business, Tyson Foods buys cattle
on the open market. The United States cattle industry is composed of
more than one million individual farms and ranches. Each year, cattle
producers market approximately 35 million cattle that are eventually
harvested for food. There are four primary stages in cattle and beef
production including cow-calf operation, stocker operation, feedlot
operation, and packer-processor. The process begins with the cow-calf
operator and finishes with a packer-processor such as Tyson Foods.
Tyson Foods has entered into various risk-sharing and procurement
arrangements with producers that help secure a supply of livestock for
daily start-up operations at the facilities. The company acquires
cattle through directly negotiated purchases with feedlot
producers through a variety of methods. The methods include
the open spot market; formula pricing (a reported price plus
some amount); and fixed price tied to a futures market. The
companys buyers purchase cattle on a daily basis, generally a
few days before the animals are required for processing. Live
animals are generally held in holding pens at one of Tyson
Foods 12 beef processing facilities for only a few hours.
With a market weight of 1,250 pounds and a yield of 62.2 percent, the
typical steer will produce a 777-pound carcass. The carcass will yield
approximately 620 pounds of meat and trim; 160 pounds of fat, bone,
and loss; and 30 pounds of variety meats.
Tyson Foods beef production during fiscal year 2009 averaged 139,400
head per week. The company represents approximately 22 percent of
the United States beef production. The companys domestic and
international beef sales totaled approximately $10.8 billion and $1.1
billion respectively in fiscal year 2009.
Pork
There are four primary stages in hog and pork
production, including sow-farrowing barns,
nurseries, finishing farms, and packer-processor.
The gestation period for hogs is approximately
114 days. Farrowings range from six to 13 pigs
per litter, with the average being about 10. The
number of pigs weaned averages 8.7 pigs per
litter. Pigs are generally weaned at three to four
weeks when they weigh 10 to 15 pounds. At
this time, they are moved to either a nursery, a
grower, or directly to a finishing building modified
to meet the needs of young pigs.
will produce
cass
pork
oducts.
200-pound
about
Prepared Foods
Tyson Foods products are not limited to maincourse protein. As an example, Tyson Foods
is the largest supplier of pepperoni and pizza
toppings to the foodservice industry. In addition,
we are the second largest manufacturer of flour
and corn tortilla chips in the United States.
Quick service Mexican restaurant chains are
the primary outlets for our tortilla products.
In addition to high-end culinary products
such as crepes, blintzes, and stuffed chicken
breasts, we are the leading supplier of bacon
and hams to the foodservice industry. We also
provide custom soups for casual dining chains,
which frees their skilled labor to work on other
menu items.
We market our prepared foods products to
retail delis, foodservice distributors, restaurant
operators, and on-site foodservice establishments,
such as schools, universities, corporate
cafeterias, hotel chains, health care facilities,
and the military.
The companys culinary and customer development
teams work with customers in the Tyson
Discovery Center to produce exciting and new
prepared foods to build incremental sales.
Domestic and international prepared food sales
totaled approximately $2.8 billion and $65
million respectively during fiscal year 2009.
Tyson Foods also consists of a number of corporate functions, such as Quality Assurance and
Food Safety, Sales, Finance, Accounting, Internal Audit, Human Resources, External Relations,
Legal, Information Systems, Marketing, Purchasing, Research and Development, Environmental,
Health and Safety, and Investor Relations. In total, the company employs approximately 117,000
Team Members in the United States and around the world with:
2009 fiscal year sales totaling approximately $26.7 billion;
A 2009 debt to capitalization ratio of 45 percent;
A net debt to capitalization ratio of 35 percent for fiscal year 2009; and
Assets totaling approximately $10.6 billion in fiscal year 2009.
2009 Tyson Foods Sustainability Report | 16
3.0 People
Tyson Foods is more than just a great company
to work for. At Tyson Foods, we strive to be a
company of diverse people working together
to produce food. Additionally, we strive to be
honorable people and to be a faith-friendly
company.
A safe workplace,
Access to existing state and federal benefits,
Freedom from discrimination and retaliation,
Compensation for work performed, and
3.1 Ethics
At Tyson Foods, we believe ethical business
is good business. Ethical business is everyday
business at Tyson Foods. After all, there is no
right way to do the wrong thing. We strive to
conduct our business in an ethical, honest
manner and in full compliance with all applicable
laws and regulations. We believe integrity is a
fundamental element in our relationships with
our many stakeholders. Our commitment to
operating with respect, trust, accountability,
and honor is modeled daily by our Team Members.
Core Values
Tyson Foods vision is to
be the worlds first choice
for protein solutions, while
maximizing
shareholder value.
Our Core Values are
fundamental to our
company. They shape and
direct our strategy and
inspire us daily. They are
integral to the way
we do business. Our Core Values guide our
relationships with our Team Members, customers
and consumers, suppliers, and independent
producers. Our goals, programs, and metrics
are derived from and support our Core Values.
Code of Conduct
Based on the foundation of our Core Values,
Tyson Foods has a Code of Conduct that
applies to the Board of Directors, all Team
Members, business divisions, and subsidiaries
of Tyson Foods. The Code of Conduct is a
written guideline that helps us make good
business decisions; its our guide to Doing
Whats Right.
The Code of Conduct provides direction on
how we are to conduct ourselves with respect
to key business
requirements such
as food safety, animal
well-being, regulatory
compliance, environmental
management, conflicts of
interest, and international
business practices. In April
2008, we published our
revised International Code
of Conduct. This revision
to the 2005 version included
framing the International
Code around our Core
Values and more clearly
reflecting the key principles
we embrace without regard
to geographical location.
Tyson Foods Governance Committee, chaired
by an independent Board member, administers
the companys Code of Conduct. This committee
reviews and assesses the companys Code of
Conduct and recommends proposed changes
to the Board for approval. The Governance
Committee also meets with the companys
Ethics and Compliance Officer, and as
We review all reports and concerns received and investigate and respond
as appropriate. In 2007, we implemented a new case management tool.
This tool allows Ethics and Compliance personnel to more accurately
access and analyze reported allegations for the purposes of investigation,
follow-up, and enhancing reporting capabilities to both senior management
and the appropriate Board Committees.
Compensation
We employ full-time and part-time hourly and
salaried Team Members. The majority of our
Team Members compensated at an hourly
rate support our company by preparing food
products in processing plants. These Team
Members are compensated at or above U.S.
minimum wage requirements.
To ensure our compensation package remains
competitive, we maintain a Compensation
Department. This department conducts wage
surveys and reviews cost-of-living indicators
and community norms regularly. During fiscal
year 2009, our average hourly rate was $11.72
per hour. This rate is 61.86 percent higher than
the federal minimum wage.
Our Compensation department also establishes
and maintains comprehensive salary programs
and policies. These programs and policies
are designed to attract and retain high-caliber
people, stimulate and reward high-level
performance, and provide flexibility to fit
individual circumstances. Additionally, our
Compensation department ensures salaries
paid are competitive with those paid by
comparable companies for similar work in the
community and in the industry.
We also maintain a Compensation Committee.
As part of our governance and oversight
process, the Compensation Committee reports
Chaplains Program
Chaplains have
been providing
compassionate
pastoral care to our
Team Members and
their families since
October 2000.
Currently, 120
full-time and part-time chaplains, representing
28 different faith group affiliations, support
this program. This is a proactive assistance
program with a spiritual foundation. Team
Members talk in confidence with our chaplains
about many issues, including health concerns,
marital and family issues, grief and death,
substance abuse, and job and financial concerns.
Our chaplains also provide referrals for premarital
counseling and weddings, and celebrate with
Team Members when new babies are born. We
believe this program provides an extra level of
care for our Team Members.
Workforce Home Benefit Program
Tyson Foods maintains the
Workforce Home Benefit
program to assist eligible
Team Members in becoming
homeowners. The program
is one of the largest of its kind in the U.S. and
enables Team Members who meet program
Job Rotation
Supplier Diversity
We also know that having a diverse group of
supply partners makes good business sense.
Working with minority-owned and womenowned businesses is key to helping us meet
our high standards for quality products and
ultimately creates more value for our shareholders.
We maintain a diverse group of supply partners
because we want diversity to be an integral part
2009 Tyson Foods Sustainability Report | 29
We remain
committed to
systematically
enhancing the
compliant and
safe operation
of our
commercial motor vehicles (CMV), and to
mitigating the potential risks associated with
their operation. As a geographically diverse
organization with fleet activities taking place
at almost every company location, we believe
establishing clear and accessible direction and
expectations for operations management is
essential. Ensuring our drivers and their
managers know what to do and how to do it
safely and in compliance is a key element to
our transportation compliance and safety
efforts.
During fiscal year 2008, we completed the
development and implementation of a
comprehensive set of operational standards
that identify specific responsibilities and
requirements for achieving CMV compliance
and safety. These standards address key topics
such as hours of service, crash reporting,
1. In our 2007 Sustainability Report, we reported Lost Time Rate, Total Recordable Incident Rate, and
Days, Away, Restricted, and Transfer Rate as 1.18, 12.95, and 8.88 respectively for fiscal year 2007.
These rates were calculated based upon a manual OSHA 300 Log documentation process. In 2007, we
implemented a computerized Occupational Health and Safety System. As such, our fiscal year 2007 Lost
Time Rate, Total Recordable Incident Rate, and Days, Away, Restricted, and Transfer Rate are restated
below to accurately reflect the data reported by this system.
2. Number of work-related injury and illnesses that result in one or more days away from work per 100
Team Members.
3. Number of work-related injury and illnesses per 100 Team Members.
4. Number of work-related injuries and illnesses resulting in a Team Member missing work, having
restricted work activity, or being transferred from their regular work assignment per 100 Team Members.
5. The formula components are weighted such that workers compensation costs contributes 50
percent, Total Recordable Incident Rate contributes 10 percent, and Days Away, Restricted, and Transfer
Rate contributes 40 percent to the total safety metric.
For example:
o Tyson Foods has a
long-standing, valued
relationship with the
League of United Latin
American Citizens
(www.lulac.org), which
broadened in recent
years to include a
collaboration addressing hunger in which
in-kind donations were made to 15
communities with significant Hispanic
populations.
o Since 2003, Tyson Foods has partnered
with Historically Black Colleges and
Universities (www.hbcu.com), making food
donations in communities in which Fall
Football Classics are played. Our fiscal year
2008 and 2009 communities included
Memphis, Atlanta, Indianapolis, Orlando,
and Greensboro, North Carolina.
The eighth goal calls for global partnership between public and private
sectors to achieve development objectives set forth. In support of this
goal, Tyson Foods has collaborated with Millennium Promise, a nonprofit
organization supporting the achievement of the MDG, to create sustainable
food systems in Sub-Saharan Africa through technical philanthropy. Tyson
Foods has the technical expertise to build poultry enterprises and, by
applying the teach a man to fish principle, the opportunity to teach
individuals the technical skills needed to provide a sustainable food and
income source.
Supporting Education
Tyson Foods cares about education in our
communities and across the country. We sponsor
and support numerous programs and organizations
dedicated to improving our nations educational
systems, such as Students in Free Enterprise,
Junior Achievement, Historically Black Colleges
and Universities Classic sponsorships, public
library funds, and monetary and in-kind donations
to secondary and post-secondary institutions.
We also provide support to numerous scholarship
funds, including national Future Farmers of
America, League of United Latin American
Citizens, Hispanic Womens Organization, United
Negro College Fund, single parent and independent
scholarship associations, and donations to
various university scholarship programs.
Tyson Project A+
Through the Tyson Project A+
program, schools can earn extra
money. The money may be used
in any way the school chooses.
Parents, students, faculty members,
4.0 PLANET
Conservation, pollution prevention, and
stewardship are some of the terms we
use to describe our responsibility for and
commitment to protecting and respecting the
environment. At Tyson Foods, we endeavor
to operate our business in an environmentally
responsible manner while minimizing our
environmental footprint.
For Tyson Foods, protecting the environment
is about more than maintaining compliance
with the environmental laws and regulations
applicable to our operations. Its about embracing
a process of continual improvement aimed at
protecting the environment for future generations.
This includes, but is not limited to:
Sustainable Packaging
An often-overlooked element of a food product is
its packaging. At Tyson Foods, our first packaging
priority is to ensure the wholesomeness, safety,
and shelf-life of our products. Our packaging
supply partners must meet or exceed the
safety regulations and standards applicable to
food-grade packaging. In addition, we require
annual third-party audits for our packaging
supply partners and letters of guarantee for the
products they supply to Tyson Foods.
We also recognize the importance of reducing
packaging waste as well as the use of nonrenewable materials in packaging content. Our
Packaging Applications Team, in collaboration
with packaging supply partners, is committed
to reducing the environmental impact of our
packaging while ensuring the safety of our
products. Below, we highlight other initiatives
we have implemented to reduce the environmental
impact of our packaging.
2009 Tyson Foods Sustainability Report | 52
Corrugated Packaging
5.0 PRODUCTS
Successful companies know their future
depends on providing the quality products
customers and consumers expect and deserve.
Tyson Foods has become a world power in
protein because of its strong belief in this
premise. The products we produce are secondto-none in food safety, quality, and variety.
Nothing is more important to our business than
maintaining the confidence customers and
consumers have in the Tyson brand.
Ingredient Sourcing
Our commitment to providing the world with
trusted food products requires us to partner
with ingredient suppliers who share the same
commitment. We spend more than $800 million
dollars annually for the raw ingredients that are
part of our finished products. Since the majority
of our operations are based in the U.S., we
purchase most of our ingredients from U.S.based suppliers.
While we do not disclose, for competitive
reasons, specific details about the source of
our ingredients, we do maintain an extensive
ingredient-supplier approval process. This
process requires our ingredient suppliers to
comply with the ingredient specifications we
set forth. For each raw ingredient we purchase,
we have a specification file that provides
information for ensuring each ingredient meets
our requirements from both a regulatory and
food-safety aspect.
Additionally, our ingredient suppliers must comply
with food-safety regulations and standards
applicable to their operations such as those
set forth by USDA, FDA, Good Manufacturing
Practices (GMP), and Hazard Analysis and
Critical Control Points (HACCP). We also
require our ingredient suppliers to meet our
stringent requirements related to, but not
limited to:
Certificates of continuing guarantee;
Packaging descriptions and details;
Warehousing and storage information;
Names and certifications of co-packers or
co-suppliers;
Product Recalls
Product recalls can happen for many reasons, such as product mislabeling,
the addition of an incorrect ingredient in a product, nonconformance to
customer specifications, or contaminated products. In these situations,
immediate action may be essential for protecting the health of the consumer.
It is for this reason Tyson Foods maintains an effective recall policy that
provides guidelines for initiating, investigating, and conducting product
recalls. If we become aware of a situation in which we suspect a product
could adversely affect the health and safety of our consumers, we will
initiate a voluntary product recall to carry out a timely and effective
recovery of the product.
In addition, we conduct mock recalls with our processing facilities and
our distribution teams. Mock recalls provide a methodology for practicing
and evaluating our ability to recall finished products, ingredients, and
packaging materials in a thorough and timely manner. They also help us
identify opportunities for the continual improvement of our recall procedures.
During fiscal years 2008 and 2009, we initiated one product recall. In
August 2008, in cooperation with USDA, we voluntarily recalled 51,360
pounds of uncooked, foodservice chicken due to an undeclared soybased allergen resulting from a labeling error. While there were no reported
illnesses with this product, we initiated this recall as a precautionary
measure. We maintain strict internal controls and procedures to protect
against potential allergen labeling errors.
Tyson Foods does not currently distinguish between GMO and non-GMO
when buying grain and meal for the purpose of blending chicken feed.
There have been discussions by grain suppliers of segregating ingredients
by seed origin; however, the proposed methods appear to be inadequate
to insure casual contact can be avoided and that ingredients can be
guaranteed as non-GMO. Since a significant percent of the annual corn
and soybean crops is of GM origin, it is likely we use GMO grain in feed
for our chickens. It is important to note that we have no preference, and
there are no performance differences in GMO and non-GMO in the meatconversion process.
Just as in our feed ingredients, the major finished-product ingredients
with GMO questions are those derived from corn and soybeans. Since
suppliers of breadings, marinades, and spices have only recently begun
to discuss segregation of ingredients, we must also assume that these
products contain GMO. Common ingredients that could potentially
contain GMO are corn flour, corn meal, corn starch, corn syrup, corn
gluten, soybean oil, soy proteins, and soy meals.
We believe science is sound and supports the belief that the corn and
soybeans used in virtually every segment of the food industry pose no
near or long-term health risk to the consuming public. Furthermore,
there is no advantage of any sort for Tyson Foods in the performance
of either source.
Stunning Methods
We continue to evaluate optimal methods for
stunning animals. In 2006, we concluded a
study evaluating the effectiveness of Controlled
Atmosphere Stunning (CAS). During the study,
we considered numerous key factors including,
but not limited to, animal well-bring, food
safety, product quality, workplace safety,
and other available scientific research. Based
on our study, we believe CAS may be an
acceptable alternative to conventional electrical
stunning; however, we do not consider it to be
more humane.
Safe Transport
The transport of animals to the processing
plant is an important animal well-being issue.
Research shows that, in addition to numerous
well-being benefits, careful and quiet animal
handling during loading, transport, and unloading
can produce meat quality benefits as well. It
is for these reasons, in the spring of 2010,
we will implement the American Meat Institute
Transportation Audit Guidelines for Cattle
and Hogs at all our beef and pork processing
2009 Tyson Foods Sustainability Report | 72
Cloned Livestock
Tyson Foods currently has no plans to purchase cloned livestock, as it
will likely be a long time before such animals would even be available for
market. Any measures we ultimately take will be guided by government
regulations and the desires of our customers and consumers.
Tyson Fresh Meats supports the efforts of the National Cattlemens Beef
Association (NCBA) and the National Pork Producers Council (NPPC),
which stress the importance of producers controlling drug residues in
their livestock. A unified commitment to animal health helps maintain the
critical balance between ensuring the needs of our animals are met and
providing our customers and consumers with the quality food products
they deserve.
2009 Tyson Foods Sustainability Report | 74
6.0 PROFITS
Tyson Foods direct and indirect economic
impacts are an important aspect of our companys
sustainability performance. We recognize our
financial performance can be both positively
and negatively influenced by key factors which
include:
Commodity prices and the availability of raw
materials;
Market demand and the prices we receive
for our products;
Livestock supply and conditions;
Team Member relations;
Product safety and quality;
Beef
In fiscal year 2008, our beef segment operating
results were better than fiscal year 2007 as
operating margins significantly improved in the
latter half of the year. Excluding a $560 million
non-cash goodwill impairment charge, our
fiscal year 2009 operating results doubled as
compared to fiscal year 2008. We sustained our
operational improvements made in fiscal year
2008 and continue to have a strong performance,
which shows in our fiscal year 2009 operating
results.
Pork
In fiscal year 2008, we achieved a record
operating income of $280 million, an increase
of $135 million as compared to fiscal year
2007. This performance was due to adequate
hog supplies and strong domestic and export
demand. While our fiscal year 2009 operating
income was down as compared to the record
year we had in fiscal year 2008, we still had
solid operating earnings of $160 million, or an
operating margin of 4.7 percent, with a strong
demand for our products and an adequate
supply of hogs.
Prepared Foods
Capital Structure
Additionally:
Pork
Chicken
Prepared Foods
Raw material costs will likely increase in fiscal
year 2010, but we have made some changes in
our sales contracts that move us further away
from fixed-price contracts and more toward
formula pricing, which will better enable us to
absorb rising raw material costs. With the
changes we have made with our sales contracts,
and the operational efficiencies we made during
fiscal year 2009, we expect strong results in
fiscal year 2010.
Moreover, we are integrating recent international
acquisitions and expect them to begin contributing
in 2010.
control. We also strongly promote animal wellbeing at all life stages. None of our broilers is
raised in cages at any stage of its life. Above
all, we strive to support independent producers
in their efforts to run their businesses wisely
and to be independent and sustainable
enterprises.
Unlike our vertically integrated chicken business,
Tyson Foods beef and pork operations depend
upon independent livestock producers to supply
our plants. The plants operated by Tyson Fresh
Meats are strategically located near large
supplies of high quality cattle and hogs.
Pet Products
Americans love their pets and are concerned
about the food their pets eat. In April 2009,
Tyson Foods and Iowa-based Kemin Industries,
Inc., announced the opening of a new
manufacturing operation that produces pet
food flavor enhancers, known as palatants,
under the PalasuranceTM brand.
The manufacturing initiative is the result of
a strategic alliance Tyson Foods and Kemin
Industries formed in 2008 to develop,
manufacture, market, and sell liquid and dry
palatants to pet food companies. The goal is to
provide cost competitive, high-quality pet food
palatants.
The new palatant operation is located at our
flagship animal by-product facility in Scranton,
Arkansas, which is centrally located to our
Arkansas chicken processing plants. The
operation boasts state-of-the-art equipment
and automated controls designed to produce
palatants with the highest regard for product
safety and performance. Production began in
March 2009 and is a 24-hour operation supported
by the Tyson Team at Scranton.
Nutraceuticals /Supplements
Foods containing nutritional supplements are
growing in popularity as Baby Boomers age.
With our bone and cartilage supply, we are
uniquely positioned to supply proprietary
chondroitin and collagen products through
our relationship with BioCell Technology, LLC.
Major nutritional supplement and food
manufacturers market finished products made
with these ingredients. Additional opportunities
are being explored to expand further this
business platform during 2009 through other raw
materials and value-added partnerships.
Biotech Products
Tyson Foods also recognizes the versatility and
functionality of keratin protein from chicken
feathers. As part of the biotech platform, we
are exploring potential partnerships and
commercialization opportunities for keratinbased products including health and beauty
solutions, adhesives, plastics, and nonwovens.
All of these products will bring added value to
our company while supporting our sustainability
efforts.
Corporate Contributions
Through campaign contributions to candidates
for the U.S. House and the U.S. Senate, the
Tyson Political Action Committee (TYPAC)
helps build and maintain relationships with
elected officials who support our industry and
company. They understand our business and
are grateful that we provide more than 100,000
jobs. They appreciate the skill and care we
dedicate to producing safe, delicious, and
nutritious foods at affordable prices.
Through August 2009, TYPAC contributed
$86,000 to candidates for federal offices for
the 2009-2010 election cycle. During the
2007-2008 election cycle, TYPAC contributed
$218,002 to candidates and political action
committees. TYPAC does not base its
contributions on political party affiliation. As
indicated in the preceding paragraph, we seek
to support candidates who understand and
appreciate our business and its importance to
American consumers.
Memberships and Associations
Tyson Foods is a member of numerous industry
groups and associations. We work with these
groups and associations because they represent
the food processing industry and business
Water Usage
Environmental Data
Financial Data
Extent
Reported
1.1
1.1;1.2;1.3
Fully
1.2
1.3; Throughout
Fully
GRI
Disclosure
Description
Location
Extent
Reported
Comments
2.1
Organization name
2.0
Fully
2.2
Fully
Also see Tyson Foods 2009 Annual Report on Form 10-K and Fiscal
2009 Fact Book.
2.3
Operational structure
2.2
Fully
Also see Tyson Foods 2009 Annual Report on Form 10-K and Fiscal
2009 Fact Book.
2.4
Location of organizations
headquarters
2.0
Fully
2.5
Countries of operation
Fully
Also see Tyson Foods 2009 Annual Report on Form 10-K and Fiscal
2009 Fact Book.
2.6
2.0
Fully
Also see Tyson Foods 2009 Annual Report on Form 10-K and Fiscal
2009 Fact Book.
2.7
Markets served
Fully
2.8
Fully
Also see Tyson Foods 2009 Annual Report on Form 10-K and Fiscal
2009 Fact Book.
2.9
Fully
2.10
Throughout
Fully
Comments
ORGANIZATIONAL PROFILE
REPORT PARAMETERS
GRI
Disclosure
Description
Location
Extent
Reported
3.1
Reporting period
7.0
Fully
3.2
7.0
Fully
3.3
Reporting cycle
7.0
Fully
3.4
7.2
Fully
3.5
7.1; 7.2
Fully
3.6
7.0
Fully
3.7
7.0
Fully
3.8
7.0
Fully
3.9
7.4
Fully
3.10
Restatements of information
provided in earlier reports
7.3
Fully
3.11
7.3
Fully
3.12
GRI overview
7.1
Fully
3.13
7.4
Fully
Extent
Reported
Comments
Comments
Organizations governance
structure
3.1; 6.1
Fully
4.2
6.1
Fully
4.3
6.1
Fully
4.4
Fully
Extent
Reported
Comments
4.5
6.1
Fully
4.6
6.1
Fully
4.7
6.1
Fully
4.8
Statements of internally
Throughout
developed mission or values,
codes of conduct, and principles
relevant to social, environmental,
and economic performance
Fully
4.9
Fully
4.10
Fully
4.11
6.1
Fully
4.12
Throughout
Fully
4.13
Membership of association
6.7
Fully
4.14
7.2
Fully
4.15
Fully
3.1; 6.1
Extent
Reported
Comments
4.16
Approaches to stakeholder
engagement
7.1; 7.2
Fully
4.17
7.2
Fully
GRI
Disclosure
Description
Location
Extent
Reported
Comments
Economic
DMA
Fully
EC1*
Throughout
Fully
EC2*
4.6; 6.0
Fully
EC3*
Fully
See pages 66-69 of Tyson Foods 2009 Annual Report on Form 10-K.
EC4*
GRI Index
Fully
The federal general business credits are the significant financial benefits
received from the government by Tyson Foods. During fiscal years 2008
and 2009, these credits were reflected as benefits of approximately,
$7 million and $13 million, respectively.
EC5
3.2
Fully
EC6*
5.1; 6.3
Fully
EC7*
Fully
EC8*
3.5
Fully
EC9
Not Reported
Extent
Reported
Comments
Environmental
DMA
EN1*
GRI Index
Fully
EN2*
GRI Index
Fully
EN3*
4.6
Fully
EN4*
4.6
Fully
EN5
Fully
EN6
6.5
Fully
EN7
4.6
Fully
EN8*
Fully
EN9
Not Reported
EN10
4.6
Fully
EN11*
Fully
Extent
Reported
Comments
EN12*
Fully
EN13
Not Applicable
EN14
EN15
EN16*
4.6
Fully
EN17*
4.6
Fully
EN18
4.6; 6.5
Fully
EN19*
GRI Index
Fully
EN20*
Fully
EN21*
GRI Index
Fully
EN22*
Fully
EN23*
4.6
Fully
Extent
Reported
Comments
EN24
EN25
Not Reported
EN26*
Initiatives to mitigate
environmental impacts of
products and services
4.6
Fully
EN27*
Fully
EN28*
Fully
EN29
EN30
Extent
Reported
Comments
Not Reported
LA1*
Fully
Extent
Reported
Comments
LA2*
Fully
We report our turnover rate, but do not break this rate down by age,
group, gender, or region. This may be a reporting indicator we further
evaluate for reporting capabilities in the long-term future.
LA3
3.2
Fully
LA4*
Fully
LA5*
3.2
Fully
LA6
Percentage of employees
represented in formal joint
management-worker health
and safety committees
3.3
Fully
LA7*
3.3
Fully
LA8*
Fully
LA9
3.3
Fully
LA10*
Fully
LA11
Fully
Extent
Reported
Comments
LA12
Percentage of employees
receiving regular performance
and career development reviews
3.2
Fully
LA13*
Composition of governance
6.1
bodies and breakdown of
employees per category according
to gender, age group, minority
group membership, etc.
Fully
LA14*
GRI
Disclosure
Description
Location
Extent
Reported
Comments
Human Rights
DMA
Not Reported
HR1*
Fully
HR2*
GRI Index
Fully
HR3
Fully
HR4*
Fully
Extent
Reported
Comments
HR5*
Fully
HR6*
3.2
Fully
HR7*
3.2
Fully
HR8
HR9
Fully
GRI
Disclosure
Description
Location
Extent
Reported
Comments
Social DMA
SO1*
Fully
SO2*
6.1
Fully
SO3*
Fully
SO4*
Not Reported
SO5*
6.7; 6.8
Fully
Extent
Reported
Comments
SO6
Fully
SO7
SO8*
GRI
Disclosure
Description
Location
Extent
Reported
Comments
Product
Responsibility
DMA
Not Reported
PR1*
Fully
PR2
PR3*
5.2; 5.4
Fully
PR4
5.1
Fully
PR5
Fully
PR6*
Fully
Extent
Reported
Comments
PR7
5.5
Fully
PR8
Not Reported
PR9*
GRI Index
Fully
We did not incur any fines for non-compliance with laws and regulations
concerning the provision and use of our products during fiscal years
2008 and 2009.
8.1 Acknowledgements
We thank the following contributors for their help, guidance, and valuable input with the
development of this report: Audit and Compliance; Human Resources; Quality Assurance;
Animal Well-Being; Environmental, Health, and Safety Services; International; Research and
Development; Investor Relations; Purchasing and Sourcing; Legal; and External Relations.
We also wish to extend a special thanks to Tyson Foods External Relations Department for
their design, photography, and editorial assistance in the development and production of
this report and Web site.
8.2 Contacts
For more information about Tyson Foods sustainability efforts
and performance, you may contact us the following ways:
Email: sustainability@tyson.com
(479) 290-4713
(479) 290-3419